- Performance track record
- Investing strategy
- Risk-adjusted returns
- Short-term and Long-term performance
- Portfolio management style etc.
In this article:
- Who is a Fund Manager?
- What are the Types of Fund Managers?
- What Role does a Fund Manager play in Managing your Funds?
- What are the Qualities of the Best Fund Managers?
- List of Top Fund Managers in 2021 in India.
Let’s start with who is a fund manager?
1. Who is a Fund Manager?A fund manager is a key person who manages the portfolio of a mutual fund scheme. He manages the corpus collected from lakhs of individuals and invests as per the fund’s objective. An Equity fund manager will buy stocks while a debt fund manager will invest in bonds and debentures. But how does a fund manager decide which stocks or bonds to invest in? This is where the knowledge and expertise of fund managers come into play. A fund manager is an expert in the field of finance. They have years of experience in the stock and capital markets. This helps them steer the fund in the right direction through market ups and downs.
Best fund managers watch the fund’s underlying portfolio like a hawk. They monitor the markets, macro and micro economic trends in order to make informed investment decisions and generate returns for the investors. But remember, a fund manager only manages the fund. He is not an owner of the corpus. The corpus belongs to unitholders only. But fund managers charge fees for managing investors’ money. This is known as expense ratio.
2. What are the Types of Fund Managers?There are two main types of fund managers –
- Active fund managers
- Passive fund managers.
3. What Role Does a Fund Manager Play in Managing your Funds?A fund manager has a plethora of roles and responsibilities. Let us explore the duties of a fund manager. a. Tracking & Monitoring the markets: The primary role of any fund manager is to preserve an investor’s hard-earned money. But they are also responsible for growing and creating wealth. It is a tight walk. But this is where best fund managers stand out. They are able to balance the risk and return expectations of the investors. They do not compromise on safety or growth. To maintain this balance, best fund managers conduct in-depth research before they buy and sell a stock or bond. They evaluate the following:
- Market trends
- Underlying securities
- Conduct due diligence
- Analyse current economic scenario
- Analysis of various companies and sectors
- Monitoring trends in foreign institutional investments
- Exercising risk management procedures
- Strict adherence to policies set by market regulator.
4. What are the Qualities of the Best Fund Managers?
- Best fund managers have access to timely information, strategies, trading ideas, and sound investment principles. Their aim is to deliver inflation beating returns for their investors.
- Best fund managers are market experts with in-depth knowledge on financial products. They have invaluable experience in portfolio management and strategy which allows them to make informed timely decisions on behalf of investors.
- Best fund managers don’t promise what they can’t deliver. They deliver what they promise. Best fund managers are not magicians. They do not paint a rosy picture for attracting higher AUM. Instead, best fund managers constantly improve their research and analysis skills to deliver consistent returns not one hit wonders.
- Best fund managers give better returns compared to others but with minimal risk. A good fund manager will not blow up your account. This can be gauged through the funds risk-adjusted returns like Sharpe ratio or Sortino ratio. A good fund manager will take calculated risks.
- Best fund managers will define their process and will stick to it. Best fund managers are a by-product of best investment processes. They place emphasis on building a fund’s investment process to avoid personal biases.
- Best fund manager will generally churn less. They will not get in and get out of investments too soon unless their mandate requires them to do so.
- Best fund managers charge fair fees for managing investors’ funds. The expense ratio charged by mutual funds is relatively lower than fees charged by portfolio management schemes (PMS). Expense ratio has a direct impact on an investor’s return. A high expense ratio eats into your returns. Best fund managers are those that are able to justify their expense ratio with their superior performance.
- Only actively managed equity mutual fund managers have been considered. Fund managers of Index, thematic, sector, passive and balanced funds are not included in this list.
- Schemes with a corpus of Rs 250 crore and above are considered.
- Only funds with buy recommendation on RankMF are included.
- Fund managers with minimum two years of qualified experience as lead manager have been included.
5. Top and Best Fund Managers in India
|Fund Manager||Fund House||Qualification||Experience||Scheme managed||Returns||Scheme Performance vs. benchmark|
|Prashant Jain||HDFC Mutual Fund||B.Tech (IIT, Kanpur), PGDM (IIM, Bangalore), CFA||22+ years||HDFC Top 100 Fund – Regular Plan – Growth||3 Year: 16.77% 5Year: 15.19%||Beat S&P BSE SENSEX – TRI only once in past 5 years|
|Mahesh Patil||Aditya Birla Sun Life AMC Limited||B.E. (Electrical), MMS (JBIMS), CFA (ICFAI)||20+ years||Aditya Birla Sun Life Frontline Equity Fund – Growth||3 Year: 13.40% 5Year: 15.04%||Beat NIFTY 50 – TRI only once in past 5 years|
|Shreyash Devalkar||Axis AMC Limited||Bachelors in Chemical Engineering and PGDM (JBIMS)||16+ years||Axis Bluechip Fund – Growth||3 Year: 15.08% 5Year: 14.79%||Beat NIFTY 50 – TRI every year in past 5 years|
|Abhijeet Dey||BNP Paribas AMC||B.E.(Mechanical), Masters degree in Management Studies||19+ years||BNP Paribas Large Cap Fund – Growth||3 Year: 10.88%||Beat S&P BSE SENSEX – TRI only once in past 5 years|
|Swati kulkarni||UTI AMC Limited||B.Com, Masters in Financial Management (NMIMS), CFA, CAIIB||27 years||UTI Mastershare Unit Scheme – Growth Plan||3 Year: 12.86%||Beat S&P BSE 100 only once in past 5 years|
|Anil Shah||Aditya Birla Sun Life AMC Limited||B.Com, C.A., Cost Accountant||25+ years||Aditya Birla Sun Life AMC Limited||3 Year: 16.92% 5 Year: 18.97%||Beat S&P BSE 200 thrice in past 5 years|
|Anup Upadhyay||SBI Funds Management Pvt. Ltd.||B.Tech (IIT Karagpur), PGDM (IIM Lucknow), CFA||11+ years||SBI Magnum Multicap Fund – Growth||3 Year: 16.92% 5 Year: 18.97%||Beat S&P BSE 500 twice in past 5 years|
|Harsha Upadhyay||Kotak Mahindra Asset Management Company Limited||B.E Mechancial, PGDM (IIM Lucknow) & CFA||20+ years||Kotak Standard Multicap Fund -Growth||3 Year: 16.25% 5 Year: 18.93%||Beat NIFTY 50 – TRI twice in past 5 years|
|Neelesh Surana||Mirae Asset Global Investment Management (India) Private Limited||B.E (Mechnaical), M.B.A (Finance)||19+ years||Mirae Asset India Equity Fund – Regular – Growth||3 Year: 17.33% 5 Year: 18.92%||Beat S&P BSE 200 4 times in past 5 years|
|Anand Radhakrishnan||Franklin Templeton Asset Management (India) Private Limited||B.Tech, PGDM (IIM, Ahmedabad), CFA||20+ years||Franklin India Equity Fund – Growth||3 Year: 12.15% 5 Year: 16.71%||Beat NIFTY 500 twice in past 5 years|
|Pankaj Tibrewal||Kotak Mahindra Asset Management Company Limited||B.Com, Masters degree in Finance (Manchester University, UK)||15+ years||Kotak Emerging Equity Scheme -Growth||3 Year: 15.59% 5 Year: 23.48%||Beat NIFTY midcap 100 every year in past 5 years|
|R. Janakiraman||Franklin Templeton Asset Management (India) Private Limited||Bachelor of Engineering, PGDM (IIM, Bangalore), CFA||13+ years||Franklin India Prima Fund – Growth||3 Year: 14.42% 5 Year: 21.69%||Beat NIFTY 50 – TRI twice in past 5 years|
|Pranav Gokhale||Invesco Asset Management Company Pvt. Limited||M.Com, Chartered Accountant||14 years||Invesco India Midcap Fund – Growth||3 Year: 14.31% 5 Year: 21.10%||Beat Nifty Midcap 100 each year for the last 5 years|
|Vinit Sambre||DSP Investment Managers Private Limited||B.Com, Chartered Accountant||16+ years||DSP Midcap Fund – Regular Plan – Growth||3 Year: 15.54% 5 Year: 21.10%||Beat NIFTY midcap 100 every year in past 5 years|
|Shreyas Devalkar||Axis Asset Management Company Ltd||Bachelors in Chemical Engineering and PGDM (JBIMS)||16+ years||Axis Mid Cap Fund – Growth Plan||3 Year: 15.08% 5 Year: 20.61%||Beat S&P BSE Mid-Cap thrice in past 5 years|
|Large & Mid Cap:|
|Dhimant Shah||Principal Asset Management Company Private Limited||B.Com, ACA||20+ years||Principal Emerging Bluechip Fund Regular Plan Growth||3 Year: 17.73% 5 Year: 22.99%||Beat NIFTY 50 – TRI thrice in past 5 years|
|Satyabrata Mohanty||Aditya Birla Sun Life AMC Limited||B.Com, C.A., CFA||12+ years||Aditya Birla Sun Life Equity Advantage Fund – Growth-regular Plan||3 Year: 12.90% 5 Year: 17.09%||Beat S&P BSE 200 twice in 5 years|
|Saurabh Pant||SBI Funds Management Private Limited||B.Com, Masters Degree in Business Economics||11 years||SBI Large & Midcap Fund Regular -Growth||3 Year: 13.60% 5 Year: 16.74%||Beat S&P BSE 200 twice in 5 years|
|Harsha Upadhyaya||Kotak Mahindra Asset Management Company Limited||B.E Mechancial, PGDM (IIM Lucknow), CFA||20+ years||Kotak Equity Opportunities Fund-growth||3 Year: 15.31% 5 Year: 16.54%||Beat NIFTY 50 – TRI twice in past 5 years|
|Amit Ganatra||Invesco Asset Management Company Pvt. Limited||B.Com, Chartered Accountant, CFA||15 years||Invesco India Growth Opportunities Fund – Growth||3 Year: 15.77% 5 Year: 16.21%||Beat NIFTY 50 – TRI twice in past 5 years|